12th Mar 2015

Hotels are expensive.  Expensive to build, expensive to operate – in some cases, of course, expensive to stay in! For the developer and investors creating a hotel project, the costs of a hotel development are not always as predictable as they would like, and cost overruns on materials and labor can quickly turn a promising project into a quagmire swarming with panicked investors.

If your hotel development runs into financial difficulties that threaten to stop progress and potentially terminate the project, your best bet is to turn to a hotel development consultant.

Consultant Benefits

A consultant can help in a wide variety of ways:

  • Streamlining of Expenses: With local knowledge of both suppliers and labor, a consultant can almost always study the cash flow of the project and find multiple areas where savings can be carved out and redistributed without sacrificing quality of construction or design.
  • Identifying Additional Funding: With some austerity measures in place to keep things moving forward, a consultant can use their knowledge of local financing to seek out emergency bridge loans, additional investors, or other sources of funding that can get a project past a roadblock and back on track to completion and profits.
  • Objective Overview: Aside from managing acute financial crises, a consultant can also provide ongoing oversight of the project to ensure that future financial problems are avoided by putting into place pricing controls, labor cost management, and other day-to-day management of costs and other finances.

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